The automotive industry has long been a cornerstone of global commerce, generating a staggering $2.86 trillion in revenue in 2021 alone. However, increased awareness of environmental issues is forcing consumers and automakers alike to rethink their approach to mobility. With passenger cars alone accounting for over 40% of global CO2 emissions in 2020, many countries have begun implementing stricter emissions controls on new vehicle models.
As a result, automakers are turning to electric mobility as a viable alternative. This shift towards cleaner, more sustainable transportation is driving interest in mobility services, while autonomous vehicles promise to revolutionize the industry yet again. Nebula Investments, with its finger on the pulse of these key initiatives, is perfectly positioned to capitalise on these trends.
The COVID-19 pandemic and automotive semiconductor shortages led to a decrease in demand and production halts for the global automotive sector in 2020 and 2021. The resulting chip shortage caused over 11 million vehicles to be cut from worldwide production in 2021, with another 7 million units impacted in 2022. Despite these setbacks, global automobile sales began to recover, reaching almost 67 million units sold in 2021.
Passenger cars represented the largest share of motor vehicle sales worldwide, accounting for approximately 68% of total sales. China and the United States led the way in this segment in 2021. China was the world’s leading car producer, manufacturing over 21.4 million units in 2021 - three times more than second-ranked Japan.
While Toyota was the best-selling automotive brand in 2021, with 10.5% of the global market, the Volkswagen Group and Toyota Motor are in a tight race to lead the market. Volkswagen Group reported the highest revenue in 2021, at nearly $296 billion. Additionally, Volkswagen Group invested close to $17 billion in research and development that year, leading to its emergence as one of the top-selling electric vehicle brands in 2022. Overall, the automotive industry is poised for significant change, and Nebula Investments is perfectly positioned to help investors navigate these exciting times.
